Nigeria’s oil and gas industry was thrown into fresh uncertainty on Tuesday following the resignation of the Chief Executives of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Engr. Gbenga Komolafe, and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Engr. Farouk Ahmed.
The twin resignations, coming barely three years after both men were appointed, have intensified debates over regulatory independence, local refining, and economic sovereignty in Africa’s largest oil-producing nation.
The NUPRC and NMDPRA are the two key regulators created under the Petroleum Industry Act (PIA) to oversee Nigeria’s upstream and midstream/downstream petroleum sectors respectively. Komolafe and Ahmed were appointed in September 2021 by former President Muhammadu Buhari and reported directly to President Bola Tinubu, who currently serves as Minister of Petroleum.
Dangote Accusations Deepen Crisis
The resignation of the NMDPRA chief followed weeks of public controversy triggered by allegations from Africa’s richest man, Aliko Dangote. Dangote accused the downstream regulator of economic sabotage, claiming its continued issuance of petroleum import licences was deliberately undermining local refining capacity, particularly the $20 billion Dangote Refinery.
Dangote alleged that the regulatory framework favoured importers and international traders at the expense of domestic refiners, entrenching Nigeria’s dependence on imported petroleum products despite having one of the world’s largest refineries.
He further accused the NMDPRA leadership of collusion with oil importers and raised personal allegations against Ahmed, claiming the regulator’s chief was living beyond his legitimate income. Dangote alleged that four of Ahmed’s children attend secondary schools in Switzerland at costs running into millions of dollars.
ICPC Petition and Ahmed’s Defence
The controversy escalated when Dangote, through his lawyer, Ogwu Onoja, SAN, petitioned the Independent Corrupt Practices and Other Related Offences Commission (ICPC), calling for Ahmed’s arrest, investigation and prosecution.
Ahmed publicly denied the allegations, insisting his finances were legitimate and verifiable. In a detailed statement, he said most of his children’s overseas education was funded through merit-based scholarships, family education trust funds established by his late father, and personal savings accumulated over three decades of public service.
He stated that his annual compensation as NMDPRA CEO, approximately ₦48 million including allowances, was publicly available and consistent with his declared assets, adding that he had submitted annual asset declarations to the Code of Conduct Bureau throughout his career.
Ahmed Visits Aso Rock
Hours before news of his resignation broke, Ahmed was seen at the Presidential Villa, Abuja, where he reportedly spent less than 25 minutes. The Presidency has not disclosed whether he met President Tinubu or the details of the discussion.
Tinubu Nominates New Regulators
Following the resignations, President Tinubu formally requested the Senate’s approval for new chief executives for both regulators.
In a letter read at the National Assembly, the President nominated Oritsemeyiwa Eyesan as Chief Executive Officer of the NUPRC and Engr. Saidu Mohammed as Chief Executive Officer of the NMDPRA.
According to a statement by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, Eyesan is a seasoned oil industry professional with nearly 33 years’ experience at the NNPC, where she last served as Executive Vice President, Upstream. She previously held the position of Group General Manager, Corporate Planning and Strategy.
Engr. Saidu Mohammed, a chemical engineer and former Managing Director of Kaduna Refining and Petrochemical Company, has also served as Managing Director of the Nigerian Gas Company and Group Executive Director/COO for Gas and Power at the NNPC. He played key roles in major gas infrastructure projects, including the AKK Gas Pipeline and Nigeria LNG expansions.
Debate Over Local Refining and Economic Sovereignty
Legal luminary and energy expert, Dr. Olisa Agbakoba (SAN), described the Dangote–NMDPRA dispute as a fundamental test of Nigeria’s economic direction.
In a policy memo titled “Beyond Commercial Disagreement to Questions of Economic Sovereignty,” Agbakoba argued that Nigeria’s continued importation of refined petroleum products, despite having massive domestic refining capacity, reflects a failure of governance.
He contrasted Nigeria’s “contract oil” model, which prioritises crude export, with Saudi Arabia’s “development oil” strategy that aggressively protects and builds local value chains.
“This is not about one refinery or one company,” Agbakoba said. “It is about whether Nigeria will continue seven decades of extractive stagnation or adopt a development-focused petroleum policy aligned with national interest.”
No Monopoly Risk – Experts
Responding to concerns about market dominance, Professor Wumi Iledare, Professor Emeritus of Petroleum Economics, dismissed claims that prioritising local refining would create a monopoly.
He said the downstream sector could at best become oligopolistic, stressing that monopoly conditions do not exist and that monopolies are ultimately unsustainable for business.
A Turning Point for the Sector
With new regulators awaiting Senate confirmation, industry watchers say the resignations may mark the end of the high-profile Dangote–NMDPRA conflict, but not the broader debate over Nigeria’s petroleum future.
At stake, analysts argue, is whether Nigeria will finally leverage its oil resources for domestic industrialisation—or remain trapped in import dependence despite massive local investment.
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